A Sign Of Calm

• October 18, 2001
• Marc Dupee

Metals are down sharply as gold
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silver
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by registering on the New 10-Day Lows list. The December contract has traded
straight south from this morning’s opening tick in a one-day delayed
reaction to the downside momentum indication. 

Dec. gold is also lower in a Pullback from a 10-day
Low after dropping out of its flag pattern a week ago. Weakness in metals
demonstrates some calm is returning to markets as traders shed positions
initiated in flight-to-safety bids. 

Canadian dollars
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recent Futures reports, energies have traced a series of outside days
near lows. Energies are down for a fourth straight day and are either
matching multi-month lows (and forming double bottoms) or are exceeding
multi-month lows (and setting up bars that imply potential reaction off the
lows).